Notice2021-25504
Proposed Agency Information Collection Activities; Comment Request
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
November 23, 2021
Issuing agencies
Federal Reserve System
Abstract
The Board of Governors of the Federal Reserve System (Board) invites comment on a proposal to extend for three years, with revision, the Central Bank Survey of Foreign Exchange and Derivatives Market Activity (FR 3036; OMB No. 7100-0285).
Full Text
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<title>Federal Register, Volume 86 Issue 223 (Tuesday, November 23, 2021)</title>
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[Federal Register Volume 86, Number 223 (Tuesday, November 23, 2021)]
[Notices]
[Pages 66560-66561]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-25504]
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FEDERAL RESERVE SYSTEM
Proposed Agency Information Collection Activities; Comment
Request
AGENCY: Board of Governors of the Federal Reserve System.
ACTION: Notice, request for comment.
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SUMMARY: The Board of Governors of the Federal Reserve System (Board)
invites comment on a proposal to extend for three years, with revision,
the Central Bank Survey of Foreign Exchange and Derivatives Market
Activity (FR 3036; OMB No. 7100-0285).
DATES: Comments must be submitted on or January 24, 2022.
ADDRESSES: You may submit comments, identified by FR 3036, by any of
the following methods:
<bullet> Agency Website: <a href="https://www.federalreserve.gov/">https://www.federalreserve.gov/</a>. Follow
the instructions for submitting comments at <a href="https://www.federalreserve.gov/apps/foia/proposedregs.aspx">https://www.federalreserve.gov/apps/foia/proposedregs.aspx</a>.
<bullet> Email: <a href="/cdn-cgi/l/email-protection#44362123376a272b2929212a30370422212021362528362137213632216a232b32"><span class="__cf_email__" data-cfemail="0b796e6c7825686466666e657f784b6d6e6f6e796a67796e786e797d6e256c647d">[email protected]</span></a>. Include the OMB
number or FR number in the subject line of the message.
<bullet> Fax: (202) 452-3819 or (202) 452-3102.
<bullet> Mail: Ann E. Misback, Secretary, Board of Governors of the
Federal Reserve System, 20th Street and Constitution Avenue NW,
Washington, DC 20551.
All public comments are available from the Board's website at
<a href="https://www.federalreserve.gov/apps/foia/proposedregs.aspx">https://www.federalreserve.gov/apps/foia/proposedregs.aspx</a> as
submitted, unless modified for technical reasons or to remove
personally identifiable information at the commenter's request.
Accordingly, comments will not be edited to remove any confidential
business information, identifying information, or contact information.
Public comments may also be viewed electronically or in paper in Room
146, 1709 New York Avenue NW, Washington, DC 20006, between 9:00 a.m.
and 5:00 p.m. on weekdays. For security reasons, the Board requires
that visitors make an appointment to inspect comments. You may do so by
calling (202) 452-3684. Upon arrival, visitors will be required to
present valid government-issued photo identification and to submit to
security screening in order to inspect and photocopy comments.
Additionally, commenters may send a copy of their comments to the
Office of Management and Budget (OMB) Desk Officer for the Federal
Reserve Board, Office of Information and Regulatory Affairs, Office of
Management and Budget, New Executive Office Building, Room 10235, 725
17th Street NW, Washington, DC 20503, or by fax to (202) 395-6974.
FOR FURTHER INFORMATION CONTACT: Federal Reserve Board Clearance
Officer--Nuha Elmaghrabi--Office of the Chief Data Officer, Board of
Governors of the Federal Reserve System, Washington, DC 20551, (202)
452-3829.
SUPPLEMENTARY INFORMATION: On June 15, 1984, OMB delegated to the Board
authority under the Paperwork Reduction Act (PRA) to approve and assign
OMB control numbers to collections of information conducted or
sponsored by the Board. In exercising this delegated authority, the
Board is directed to take every reasonable step to solicit comment. In
determining whether to approve a collection of information, the Board
will consider all comments received from the public and other agencies.
During the comment period for this proposal, a copy of the proposed
PRA OMB submission, including the draft reporting form and
instructions, supporting statement, and other documentation, will be
made available on the Board's public website at <a href="https://www.federalreserve.gov/apps/reportforms/review.aspx">https://www.federalreserve.gov/apps/reportforms/review.aspx</a> or may be requested
from the agency clearance officer, whose name appears above. Final
versions of these documents will be made available at <a href="https://www.reginfo.gov/public/do/PRAMain">https://www.reginfo.gov/public/do/PRAMain</a>, if approved.
Request for Comment on Information Collection Proposal
The Board invites public comment on the following information
collection, which is being reviewed under authority delegated by the
OMB under the PRA. Comments are invited on the following:
a. Whether the proposed collection of information is necessary for
the proper performance of the Board's functions, including whether the
information has practical utility;
b. The accuracy of the Board's estimate of the burden of the
proposed information collection, including the validity of the
methodology and assumptions used;
c. Ways to enhance the quality, utility, and clarity of the
information to be collected;
d. Ways to minimize the burden of information collection on
respondents, including through the use of automated collection
techniques or other forms of information technology; and
e. Estimates of capital or startup costs and costs of operation,
maintenance, and purchase of services to provide information.
At the end of the comment period, the comments and recommendations
received will be analyzed to determine the extent to which the Board
should modify the proposal.
Proposal Under OMB Delegated Authority To Extend for Three Years, With
Revision, the Following Information Collection
Report title: Central Bank Survey of Foreign Exchange and
Derivatives Market Activity.
Agency form number: FR 3036.
OMB control number: 7100-0285.
Frequency: Triennially.
Respondents: Commercial banks, brokers and dealers, and U.S.
offices of foreign banking offices with dealing operations in the U.S.
Estimated number of respondents: 21.
Estimated average hours per response: 65.
Estimated annual burden hours: 1,365.
General description of report: The Board is a member of the Bank
for International Settlements (BIS), which compiles aggregate national
data from each central bank to produce and publish global market
statistics. The FR 3036 is a component of the U.S. portion of a global
data collection (the BIS survey) that is conducted by central banks
once every three years and captures information relating to the volume
of foreign exchange (FX) transactions. Currently, more than 50
[[Page 66561]]
central banks plan to conduct the BIS survey in 2022. Aggregated data
from the FR 3036 is compiled and forwarded to the BIS, which uses the
data to produce and publish these statistics.
Proposed revisions: The proposal would revise the maturity bands on
the FR 3036 by replacing the existing ``seven days or less'' category
with two categories: ``One day'' and ``over one day and up to seven
days.'' This change would align with current industry standards which,
based on pre-emptive consultation with a sample of reporting dealers,
are already included in the back-end systems of respondents. Revisions
to the maturity bands were originally proposed to the BIS by data users
seeking greater insight into how overnight trades impact FX turnover
and are expected to be broadly adopted by nearly all participating
central banks for the 2022 survey.
The proposal would add a new item for ``of which back-to-back
trades'' under the total for spot instruments, and the new items ``of
which back-to-back trades'' and ``of which compression trades'' for
several instrument totals: Outright forwards (Table A2), FX swaps
(Table A2), currency swaps (Table A5), over-the-counter (OTC) options
(Table A5), FX contracts (Table A5), other products (Table A5 and Table
B2), forward rate agreements (Table B1), overnight indexed swaps (Table
B1), other swaps (Table B1), total OTC options (Table B2), and total
interest rate contracts (Table B2). The proposed changes would provide
insight into an important facet of the FX market that was omitted from
prior surveys, and would be particularly valuable to data users given
that both transaction types have been cited by reporting dealers to
comprise an increasing share of market turnover. These proposed line
items were circulated to a selection of reporting dealers and, based on
feedback received, have been modified to ensure a more limited impact
on respondent burden.
The Board also proposes a more significant addition in the form of
a new Settlement of FX Transactions schedule (Table A7, Settlement of
Foreign Exchange Transactions) to collect information on FX settlement,
including a breakdown by counterparty sector, currency pair, and
settlement method. The new schedule would enable the Board and other
supervisory authorities to more accurately and regularly monitor FX
settlement risk--an area of growing importance for financial regulators
given that the BIS estimates that nearly $9 trillion of FX market
payments are at risk on a given day. While some countries collected a
limited set of data on FX settlement during the 2019 survey, it is the
broad view of global regulatory authorities that more granular data is
needed to effectively monitor risks to financial stability that may
arise from FX settlement.
Legal authorization and confidentiality: The FR 3036 is authorized
pursuant to sections 2A and 12A of the Federal Reserve Act (FRA).
Section 2A of the FRA requires that the Board and the Federal Open
Market Committee (FOMC) maintain long-run growth of the monetary and
credit aggregates commensurate with the economy's long run potential to
increase production, so as to promote effectively the goals of maximum
employment, stable prices, and moderate long-term interest rates.\1\
Under section 12A of the FRA, the FOMC is required to implement
regulations relating to the open market operations conducted by Federal
Reserve Banks. Those transactions must be governed with a view to
accommodating commerce and business and with regard to their bearing
upon the general credit situation of the country.\2\ The Board and the
FOMC use the information obtained from the FR 3036 to help fulfill
these obligations. The FR 3036 is voluntary.
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\1\ 12 U.S.C. 225a.
\2\ 12 U.S.C. 263.
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Individual firm information collected on the FR 3036 is considered
confidential to the extent it constitutes nonpublic commercial or
financial information, which is both customarily and actually treated
as private by the respondent. Therefore, this information may be kept
confidential under exemption 4 of the Freedom of Information Act, which
exempts ``trade secrets and commercial or financial information
obtained from a person and privileged or confidential.'' \3\ If it
should be determined that any information collected on the FR 3036 must
be released, other than in the aggregate in ways that will not reveal
the amounts reported by any one institution, respondents will be
notified. Aggregated FR 3036 data is compiled and forwarded to the BIS,
which publishes global market statistics that are aggregates of
national data from the Federal Reserve and other central banks.
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\3\ 5 U.S.C. 552(b)(4).
Board of Governors of the Federal Reserve System, November 17,
2021.
Michele Taylor Fennell,
Deputy Associate Secretary of the Board.
[FR Doc. 2021-25504 Filed 11-22-21; 8:45 am]
BILLING CODE 6210-01-P
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